Pernas channels RM12.6 million to Sabah franchise entrepreneurs since 2010 - Ewon

KOTA KINABALU: Perbadanan Nasional Berhad (Pernas) has channelled funding of RM12.6 million to 72 Sabah enterprises, encompassing 33 franchise and pre-franchise brands from 2010 until now.

Entrepreneur and Cooperative Development Minister Datuk Ewon Benedick said Pernas, which is an agency under his ministry, is also targeting RM4.2 million in potential funding for Sabah this year.

He said the positive development should be a catalyst for all entrepreneurs in Sabah to venture into the franchise business, with the development of various local brands in the state also proving that they are able to compete with other international franchise brands.

Therefore, Ewon said he wants more Sabahan entrepreneurs, including youth, to take full advantage of the franchise and pre-franchise financing of RM50 million provided by Pernas next year to venture into the franchise business and further boost the potential of their respective product brands.

“I am very confident that many brands in Sabah have opened branches either through subsidiaries or other entrepreneurs to sell products or cafes in several districts without being registered in the franchise industry.

“I encourage them to come forward to the ministry and Pernas because licensing or registering as a franchise brand will open up more opportunities including access to financing,“ he told reporters after officiating the Sabah BizFrancais programme here today.

The one-day programme organised by Pernas was attended by about 250 Sabah entrepreneurs, and aimed to provide the latest information about business and the franchise industry as well as the services offered by the agency.

It also provides an opportunity for exhibitors from franchisors, pre-franchisees and Business In Transformation pre-franchisers to promote their business models and brands.

Ewon said the organization of such a programme is seen as one of the contributing factors to the increase in the participation of Sabah entrepreneurs in the franchise business because they see the prospect of the industry being easier in efforts to expand the brand in the market.

According to him, Pernas as a whole has also channelled RM509 ​​million in franchise financing to 2,200 franchise and pre-franchise entrepreneurs, while since the BizFrancais Program was introduced in 2019, the agency has approved RM14.94 million in financing.

Meanwhile, Pernas chairman Datuk Hazimah Zainuddin in her speech said the BizFrancais Program was implemented in six states namely Penang, Perak, Pahang, Johor, Sarawak, and Sabah which targeted potential financing worth RM26.67 million.

Last year, Pernas organised a similar programme in five states involving Kedah, Penang, Melaka, Terengganu, and Sarawak which saw the agency approve funding of RM9.6 million, she said.

“Pernas is now intensifying efforts to produce more franchise entrepreneurs through the Be Your Own Boss project and will introduce several new franchise entrepreneurship programs next year such as programmes for retirees and veterans as well as social enterprises to intensify efforts to drive the franchise industry,“ she said. - Bernama